Papua New Guinea writes Article 6 rules and a domestic offset framework into its new climate plan
By Article 6 Network
Papua New Guinea’s new climate plan makes all of its targets fully conditional on foreign support. It also commits to writing international Article 6 trading and a domestic carbon offsetting market into national law. This puts carbon markets at the centre of how one of the world’s most forested countries plans to finance its climate commitments.
Papua New Guinea will make every target in its new Nationally Determined Contribution conditional on international support, Carbon Pulse reported on 23 October 2026. The plan is a policy shift: Article 6 trading and a domestic carbon offsetting market will be written into national law.
The NDC 3.0 covers 2025 to 2035. Validated in June 2026, it sets out commitments on mitigation, adaptation, climate finance, transparency, nature-based solutions, loss and damage, and inclusive climate action. It sets a pathway to net-zero emissions by 2030 and net-negative emissions by 2035. The plan was prepared by the Climate Change and Development Authority (CCDA) with support from UNDP, the NDC Partnership, ESCAP, the EU, FAO, ADB, the UN-REDD Programme and other partners. It is aligned with Vision 2050, the Medium-Term Development Plan IV and the National Adaptation Plan.
Papua New Guinea was an early mover in Article 6. It signed Singapore’s first Article 6 Implementation Agreement in December 2023, and Singapore’s initial list of eligible credits covered Papua New Guinea as the only host country at the time.
Signals to watch
- Full conditionality reshapes the NDC math: If every target depends on external support, carbon finance becomes a primary delivery channel rather than a supplement. Watch how the plan separates mitigation financed through ITMO sales from mitigation counted towards Papua New Guinea’s own targets. This will determine how much is genuinely exportable with corresponding adjustments.
- Legal certainty for investors: Putting Article 6 and domestic offsetting into national law, rather than relying on policy guidance alone, should reduce regulatory risk. Investors should track the legislation, implementing regulations, benefit-sharing rules and authorisation procedures as they come out.
- Forest-heavy supply potential: Papua New Guinea’s large rainforest cover makes REDD+ and jurisdictional forest programmes likely priorities. The net-negative ambition for 2035 points to large removal and avoided-deforestation volumes. Integrity, permanence and land-tenure safeguards, including customary land rights, will be central to buyer due diligence.
- Domestic offset market creates two demand channels: A domestic offsetting mechanism could create local demand, for example from extractive industries. Clear registry separation between domestic and international use will be essential to avoid double counting.
- Buyer engagement: As Singapore’s first Implementation Agreement partner, Papua New Guinea is well placed to supply Singapore’s carbon tax and government procurement. Watch for project authorisations under that agreement and for new partners such as Japan, Korea, Switzerland or Norway.
Sources:
- Carbon Pulse – Papua New Guinea anchors Article 6 rules, domestic offset framework in new climate plan
- UNDP – PNG validates ambitious NDC 3.0
- Carbon Pulse – Papua New Guinea unveils enhanced NDC, secures EU climate funding
- Argus – Singapore releases list of approved carbon credits
